Sanctuary Advisors LLC Invests in Skechers U.S.A., Inc.

Sanctuary Advisors LLC has taken a notable step by acquiring a new stake in Skechers U.S.A., Inc. (NYSE: SKX) during the second quarter of this year. According to a recent Form 13F filing with the Securities and Exchange Commission, the firm secured 15,702 shares of the popular footwear brand, which is valued at around $1,027,000.

This investment comes as part of a larger trend where several institutional investors and hedge funds have adjusted their holdings in Skechers U.S.A. For instance, Vanguard Group Inc. raised its stake by 0.8% in the first quarter, now owning 12,724,299 shares valued at $779,491,000 after acquiring an additional 97,666 shares. Similarly, Dimensional Fund Advisors LP increased its holdings by 3.0%, now reaching 1,885,723 shares worth $130,350,000, following a purchase of 55,095 shares in the previous quarter.

Vaughan Nelson Investment Management L.P. has also expanded its position significantly, increasing it by 62.6% in the first quarter. This investment management firm now holds 1,232,993 shares valued at $75,534,000 after acquiring an additional 474,524 shares. Furthermore, Goldman Sachs Group Inc. has raised its position by 99.2% in the last quarter, currently owning 824,263 shares worth $51,385,000 after buying an extra 410,379 shares. Finally, Principal Financial Group Inc. lifted its position by 2.5% in the first quarter, now owning 503,289 shares valued at $30,831,000 after an additional purchase of 12,234 shares. All these institutional investors collectively own about 79.96% of Skechers U.S.A. shares.

Analyst Price Targets and Ratings

In light of recent developments, several equity research analysts have issued updated price targets for Skechers U.S.A. shares. Wedbush has raised its price objective from $76.00 to $79.00, giving the stock an "outperform" rating. On the same day, Barclays also increased its target from $78.00 to $79.00, rating it as "overweight." Stifel Nicolaus followed suit, adjusting its target from $81.00 to $83.00 while maintaining a "buy" rating.

Bank of America, however, slightly lowered their price target from $87.00 to $81.00 while still recommending the stock as a "buy." In another report, TD Cowen increased its price objective from $77.00 to $79.00 while maintaining a "buy" rating. Currently, eleven investment analysts have rated Skechers U.S.A. with a buy rating, and according to MarketBeat.com, the average target price stands at $77.82.

Skechers U.S.A. Stock Performance

As of now, shares of Skechers U.S.A. opened at $67.54. The company has experienced a 52-week low of $45.58 and a high of $75.09. Financial indicators show a quick ratio of 1.33 and a current ratio of 2.06, alongside a minimal debt-to-equity ratio of 0.01. The market capitalization of Skechers U.S.A. is approximately $10.29 billion, maintaining a price-to-earnings ratio of 18.11 and a PEG ratio of 0.93. The stock has demonstrated a beta of 1.22, indicating slightly above-average volatility compared to the market.

On July 25th, Skechers U.S.A. disclosed its quarterly earnings, reporting an EPS of $0.91, which fell short of analysts’ expectations of $0.95 by $0.04. The company achieved revenues of $2.16 billion for the quarter, which also was below the consensus estimate of $2.24 billion. Despite the miss, the company saw a year-over-year revenue increase of 7.3%, compared to the same quarter last year. Additionally, analysts project Skechers U.S.A. will report an EPS of 4.17 for the current fiscal year.

Furthermore, the Board of Directors of Skechers U.S.A. approved a stock repurchase plan that allows the company to buy back $1.00 billion in shares, equating to up to 10.3% of its total shares. Such buyback plans often indicate that company leaders believe their stock is undervalued in the market.

About Skechers U.S.A.

Skechers U.S.A., Inc. designs, develops, markets, and distributes footwear for men, women, and children globally. The company operates through both Wholesale and Direct-to-Consumer segments, offering various footwear lines, including Skechers Hands Free Slip-ins, Skechers Arch Fit, and Skechers Air-Cooled Memory Foam brands.

investment, stocks, Skechers